Ewu Tightens Up Monetary Controls Auditor Criticizes Handling Of Parking Fees, Bookstore Receipts

Fri., Aug. 21, 1998

Grayden Jones Staff writer

State officials have warned Eastern Washington University that it risks “theft or misappropriation of public funds” if it does not tighten controls over the handling of more than $1 million in Cheney parking fees and Spokane bookstore sales.

While state Auditor Brian Sonntag found no evidence of wrongdoing, the amount of money handled by the two departments is substantial. Annual parking revenues in Cheney exceed $270,000; bookstore sales at the university’s downtown Spokane Center at 705 W. First total $750,000.

In a seven-page report issued Aug. 7, Sonntag said that some parking revenue could not be traced and workers were collecting parking meter change using an open bag rather than a locked cart, violating state statutes.

In addition, approximately 150 parking tickets were missing from logbooks with no explanation.

“Inadequate internal controls and a lack of accurate accounting data increase the risk of error, omissions and fraud occurring and not being detected by management in a timely manner,” Sonntag wrote.

University officials said Thursday that changes have been made to ensure that no money is lost.

“We are following good accounting practices, and these changes are in place now,” said Alex Cameron, interim vice president for business and finance.

The state audited EWU’s parking and bookstore operations for the fiscal year ending in mid-1997. Audit results typically are released months later to give the university time to respond to any violations.

EWU serves about 7,000 students in Cheney and Spokane. It manages 2,740 parking spaces in Cheney but none in Spokane.

University staff and student workers annually take in $70,000 from parking permits and $82,295 from meters, said spokeswoman Stefanie Pettit. Another $120,000 is collected in fines - $10 a pop for an overtime ticket and $20 for parking without a permit.

The state audit said parking services director Ron Sperber was unaware of state procedures for handling cash receipts. Sperber’s office blamed other lapses in financial controls on lack of time.

Separately, Sonntag said that cash and checks received at the bookstore were not counted prior to being stored for deposit nor were they reconciled to cash-register tapes. Refunds were not reviewed to determine if the transactions were valid, and employees were trained and supervised inadequately.

EWU agreed with the findings and has made necessary changes, Cameron said. For example, sales clerks who take in money do not make end-of-day deposits.

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